Mayville Engineering (NYSE:MEC) Shares Gap Down – Should You Sell?

Mayville Engineering Company, Inc. (NYSE:MEC)’s share price gapped down before the market opened on Monday . The stock had previously closed at $35.21, but opened at $33.67. Mayville Engineering shares last traded at $33.95, with a volume of 64,267 shares trading hands.

Analyst Upgrades and Downgrades

MEC has been the subject of several research reports. DA Davidson lifted their price objective on shares of Mayville Engineering from $23.00 to $32.00 and gave the stock a “buy” rating in a research note on Monday, May 11th. Citigroup upped their target price on Mayville Engineering from $25.00 to $33.00 and gave the company a “buy” rating in a research report on Friday, May 8th. Finally, Northland Securities set a $30.00 target price on Mayville Engineering in a research note on Thursday, May 7th. Four analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $29.75.

Mayville Engineering Trading Up 1.1%

The stock has a 50-day moving average of $29.50 and a 200 day moving average of $22.88. The company has a quick ratio of 0.91, a current ratio of 1.64 and a debt-to-equity ratio of 0.91. The stock has a market cap of $695.42 million, a PE ratio of -42.37 and a beta of 1.22.

Mayville Engineering (NYSE:MEC) last announced its quarterly earnings data on Tuesday, May 5th. The company reported ($0.15) EPS for the quarter, beating the consensus estimate of ($0.28) by $0.13. The business had revenue of $144.78 million during the quarter, compared to analysts’ expectations of $139.18 million. Mayville Engineering had a negative net margin of 2.93% and a negative return on equity of 5.77%. As a group, sell-side analysts anticipate that Mayville Engineering Company, Inc. will post -0.08 earnings per share for the current year.

Insider Buying and Selling

In related news, EVP Ryan F. Raber sold 20,000 shares of the business’s stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $26.00, for a total transaction of $520,000.00. Following the completion of the transaction, the executive vice president directly owned 86,970 shares in the company, valued at $2,261,220. The trade was a 18.70% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Craig D. Nichols sold 4,000 shares of the company’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $23.24, for a total transaction of $92,960.00. Following the completion of the sale, the senior vice president directly owned 146 shares in the company, valued at approximately $3,393.04. The trade was a 96.48% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 80,726 shares of company stock valued at $2,311,768 over the last 90 days. Insiders own 5.60% of the company’s stock.

Institutional Trading of Mayville Engineering

A number of hedge funds have recently modified their holdings of the stock. Empowered Funds LLC raised its position in Mayville Engineering by 7.3% during the first quarter. Empowered Funds LLC now owns 98,207 shares of the company’s stock valued at $1,319,000 after acquiring an additional 6,694 shares in the last quarter. Jane Street Group LLC grew its stake in shares of Mayville Engineering by 158.6% during the 1st quarter. Jane Street Group LLC now owns 47,194 shares of the company’s stock worth $634,000 after purchasing an additional 28,946 shares during the period. Geode Capital Management LLC grew its stake in shares of Mayville Engineering by 9.5% during the 2nd quarter. Geode Capital Management LLC now owns 318,321 shares of the company’s stock worth $5,081,000 after purchasing an additional 27,552 shares during the period. JPMorgan Chase & Co. increased its holdings in shares of Mayville Engineering by 20.7% during the 2nd quarter. JPMorgan Chase & Co. now owns 7,936 shares of the company’s stock valued at $127,000 after purchasing an additional 1,359 shares in the last quarter. Finally, Rhumbline Advisers increased its holdings in shares of Mayville Engineering by 8.3% during the 2nd quarter. Rhumbline Advisers now owns 19,969 shares of the company’s stock valued at $319,000 after purchasing an additional 1,526 shares in the last quarter. Hedge funds and other institutional investors own 45.44% of the company’s stock.

About Mayville Engineering

Mayville Engineering Company, Inc (NYSE:MEC) is a U.S.-based industrial manufacturer specializing in engineered metal castings and precision machining services. Headquartered in Mayville, Wisconsin, the company leverages over a century of casting experience to design, produce and finish complex metal components for a broad range of heavy-duty applications.

The company operates two principal business segments: iron castings and steel castings. Its iron segment utilizes green sand and lost-foam molding processes to produce gray and ductile iron components, while the steel segment employs electric-arc furnace technology to manufacture high-strength steel castings.